Australia: Average House Prices Range From £134,000 in Adelaide To £213,000 in Sydney

The average price of a house in Australia’s major cities ranges from £134,200 (A$243,871) in Adelaide to £212,600 (A$526,158) in Sydney.

Australia’s average house prices are not directly comparable with the UK’s because:

• UK average house prices include all types of dwelling, including flats.
• Average house prices in Australia are just for houses and do not include flats/units.

House Prices in Australia
December 2006

Location	Average House Price (A$)	Average House Price (£)	Comments
Sydney	$526,158	£213,019	• Sydney prices recorded little growth in the December quarter. • Houses in the western suburbs fell 4 percent during 2006. Property in the more affluent eastern suburbs rose 5 percent. • Soft conditions are expected on the city’s outskirts because of interest rate hikes.
Melbourne	$366,415	£148,346	• House prices are at record highs. • The market in late 2006 was sluggish.
Brisbane	$350,404	£141,864	• House prices are at record highs. • Like Melbourne, the market in late 2006 was sluggish.
Adelaide	$331,407	£134,173	• Adelaide house prices rose 5 percent over the year and 3 percent over the quarter. • The city is expected to sustain solid price growth because of the continuing strength of the resources sector.
Perth	$502,441	£203,417	• Perth houses prices broke through $500K for the first time in the December Quarter. • Perth experienced the lowest quarterly prices rises for 5 years in December, suggesting the boom may be over.

* Assumed exchange rate is £1 = A$2.47

Commenting on the figures, Michael McNamara, Operations Manager for Australian Property Monitors said:

“The headline figures for all eastern capitals indicate that those markets are in a stabilisation phase of their property cycles. However, closer analysis shows that within cities there is more volatility than at first glance.

“Premium markets are outperforming strongly. For instance, affluent suburbs in Sydney such as Palm Beach, Waverton and Bellevue Hill achieved double digit growth at the expense of mortgage belt outer suburbs such as Macquarie Fields, Lakemba and Narellan. Strong migration patterns, wage growth and a weak new housing industry will all intensify the divide between premium and more outer suburban markets in 2007.

“In some areas the outlook is bleaker. The near doubling of auctions in Sydney’s west will, at least in part, reflect an alarming rise of mortgagee in possession sales. As the three interest rate rises in 2006 take full effect, the impact will be felt more deeply by lower to middle income earners creating weak property markets in the mortgage belt areas of Sydney, Melbourne and Brisbane. Sadly, forced sales will continue to create an oversupply and flat demand in these areas as a declining market will most likely persist. This will improve affordability in outer suburban markets.”

Source: HomePriceGuide